Women employment in urban India jumps 10% in six years, still over 89 million out of labour market: Report

New Delhi [India], March 7 : Women's employment in urban India rose by 10 per cent in six years starting 2017-18 till 2023-24, reaching 28 per cent among working age women (15-64 years), according to a white paper launched by Great Lakes Institute of Management, Chennai, on the eve of International Women's Day.
Women's employment in urban India is at its highest level in a quarter of a century.
This change happened because of significant social shifts: gender parity in education, delayed marriages, and smaller family sizes. Nonetheless, India is still far from closing the gender gap in paid work.
However, the report also mentions that despite women's employment in urban India jumping firmly in these years, over 89 million (8.9 crore) urban Indian women remained out of the labour market in 2023-2024.
In 2023-24, India failed to utilise the skills of over 19 million graduate-educated urban women due to personal choices or constraints from social norms such as childcare, commuting, or because of demanding jobs.
Apart from household and care work, relatively unseen barriers to women's employment in urban areas include those such as residence relocations after marriage and lower access to faster and more convenient commuting modes, even among highly educated women, the white paper noted.
In the 30-49 age group, a staggering 97 per cent of urban men were employed in 2023-24, reflecting a stark inequity.
The report highlighted the evolving landscape of women's unemployment in urban India and also warned of pressing challenges, including the under-utilisation of educated women skills and the looming risk of a diversity backlash.
The report noted that urban women in their forties have the highest employment rate among women in urban India--38.3 percent in 2023-24.
Suresh Ramanathan, Dean at Great Lakes Institute of Management, Chennai, said, " There is a risk of diversity backlash if quality job creation doesn't accelerate to accommodate both genders."
"The report cautions that if quality job creation remains sluggish, rising female employment alongside male joblessness may trigger societal resistance to workplace diversity since men must earn as per the existing social norm," the Dean said, as per a statement from the Institute.
Another important aspect highlighted in the report is that gender gaps persist even in highly educated households. Even among dual-income, highly educated couples, gender disparities remain stark.
Against this backdrop, the Institute suggested that scaling job creation and continuous skilling are key to supporting women's employment of all ages.
It also sought behavioural interventions to promote the 'sharing' of family responsibilities so that women can take up jobs, behavioural and legal Interventions to lower domestic violence, inclusive policies for all employees, and fair recruitment and career progression, among other things.
Vidya Mahambare, Professor of Economics and Director (Research and Fellow Program in Management), Great Lakes Institute of Management, noted: "While women's workforce participation in urban India is rising, it is not yet translating into true gender parity in earnings, career growth, and domestic responsibilities."
"To drive real change, first, we need more employment opportunities for all. Second, we need structural reforms in childcare policies, flexible work arrangements, and a shift in societal norms that continue to burden women disproportionately," Mahambare added.